STX, USC to cooperate in building a new Kronstadt shipyard

South Korean STX Shipbuilding Corporation and Russia's United Shipbuilding Corporation (USC) have signed recently a memorandum of cooperation, including building of a new shipyard in Kronstadt (St. Petersburg), as well as developing the production of diesel engines for marine vessels. The engines are intended for small and medium tonnage ships, including for gas carriers and chemical tankers, RBC Daily reports.
The two shipbuilders plan to establish a joint venture for the construction of a new shipyard in Kronstadt."But before we register the joint venture, we need to sign several agreements", USC said.
An earlier report said the Government of St. Petersburg had approved a draft decree "On the strategic investment project of St. Petersburg for relocation of production capacities of Admiralty Shipyards JSC and the development of the Novo-Admiralty Island”.
STX is a South Korean shipbuilding corporation engaged in building of both merchant ships (container ships, LNG carriers, oil tankers and fishing vessels) and warships. The company also produce 70% of avg speed diesel engines on the Korean market.
United Shipbuilding Corporation OJSC was founded in 2007. The Russian corporation comprises of three regional shipbuilding centers: Western Shipbuilding Center JSC (St. Petersburg), The Northern Center of Shipbuilding and Ship Repair JSC (Severodvinsk), Far Eastern Center of Shipbuilding and Repair JSC (Vladivostok) and several project design bureaus.